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Cold Calling Secrets: Real Estate’s Unconventional Weapon

Social media and online advertising have been vital tools to grab the attention of real estate customers. Yet you may know there is another method that can multiply the business’s success: cold calling. Maybe you have already considered it as an outdated or ineffective way. But what if we from Virtual Fellows tell you the cold calling secrets to unlock growth in real estate business?

Call calling in real estate involves targeting specific demographics or geographic areas. This method allows agents to focus on next clients likely interested in buying or selling properties. Obviously, the main target is increasing conversion rates.

Stats show that the average cold calling success rate in real estate is between 1% to 2%. We have found another source that notes this rate as 2%. So, if you want more clients or customers, you may adapt this method where the success rate may increase more than those statistics.

maximize effectiveness of cold calling services

Breaking the Ice: Mastering the Art of Cold Calling

What common people understand with cold calling is picking up the phone and reaching out to a stranger, isn’t it? Still, this initial call can create a valuable connection with the right approach. The effectiveness of cold calling, after all, can be enhanced by mainly:

  • Well-crafted scripts
  • Psychological tactics
  • The latest technology tools.

Let’s break down these tactics:

Effective Use of Scripts

Multiple experts (1, 2, 3, 4, 5) suggest using structured scripts in cold calling for real estate business. You should have experts customize these scripts to address various scenarios, such as introducing yourself, responding to objections, and building solid connections with the client.

Psychological Engagement

In a research article, Bojan Grum and Darja Kobal Grum (2015, p.83) add,

Decision-making in the buying process, namely, at the cognitive, motivational, and emotional levels. This aspect concerns decision-making mechanisms such as mental processes, learning, memory, attention and so on, and emotional mechanisms, which means that the purchase decision involves emotional dimensions of an individual’s personality.

So, purchase (or any agreement) decision with specific real estate company depends on how you can touch their mind to their cognitive levels. In this case, techniques like active listening, empathy, and storytelling can help build rapport and trust with the clients.

Optimal Timing and Persistence

Will you call every now and then? No, that would be disheartening. The timing of calls plays a significant role in their success. Research (6, 7) suggests that the best times for making cold calls are between 4:00 PM – 5:00 PM and 11:00 AM – 12:00 PM. Moreover, success in cold calling often requires persistence, as we have already mentioned the success rate which depends on a high volume of calls.

Leveraging Technology

By 2025, 75% of B2B companies will use AI to elevate traditional cold calls. However, advanced technologies (AI and ML) can reform the efficiency and effectiveness of cold calling. These technologies assist in lead scoring, optimizing contact strategies, and personalizing calls based on the client’s profile. You can significantly reduce the time and effort involved in traditional cold calling methods.

Handling Objections

Real estate must maintain its calm as objections or rejections are always possible. However, effectively managing objections is a critical skill in cold calling. Similarly, agents should be prepared to understand and empathize with clients’ concerns. They must provide clear, concise information to address and overcome clients’ hesitations. Regular practice and role-playing can prepare agents to handle these situations more confidently.

Identifying the Right Clients

Cold calling experts always identify their main targets easily. It is because you cannot pick a random homeowner as the client. Some notable leads are expired listings (unsold properties), FSBOs (For Sale by Owner), and recent buyers or sellers.

Complying with legal standards such as the Telephone Consumer Protection Act is essential. A real estate company must ensure that calls are kept from numbers listed on the Do Not Call Registry. Adhering to these regulations helps maintain ethical standards and avoid legal penalties.

Continuous Learning and Adaptation

Agents must stay informed about the latest trends, technologies, and regulatory changes to adapt their strategies accordingly. With this knowledge, agents can master the art of cold calling and make it a powerful tool for lead generation and client engagement in the competitive real estate market.

Outsourcing Your Way to Cold Calling Success: Why DIY Isn’t Always the Answer

The return on investment from cold calling can be $386.75 per hour, assuming an average commission of $4,641. Outsourcing cold calling in real estate can be a strategic move for many agencies and individual agents. It can help optimize the lead generation and sales processes.

Still, you may consider taking a do-it-yourself (DIY) approach, but relying on professional services can be more beneficial.

Why? Here are the answers:

Access to Expertise

Outsourcing provides access to professionals – they are skilled in effective communication and persuasion techniques tailored for real estate. These pros ensure that every call is made with precision and purpose. It increases the success rate of cold calling campaigns.

Cost Efficiency

By outsourcing (for instance, Virtual Fellows), you can avoid the expenses of expanding an in-house sales team. It reduces operational costs and enhances the return on investment by reallocating resources more efficiently. All you need to do is pay a low amount, like $8-$10 per hour.

Increased Productivity

Businesses can focus on closing deals and other core activities rather than spending time on the phone to outsource cold calling. This strategic division of labor can lead to better overall performance and higher income generation.

Scalability

Real estate agencies can adjust the volume of outsourced services based on their current needs and market demands. This allows them to avoid the logistical challenges of hiring or downsizing internal staff.

Enhanced Lead Generation

Hired company professionals can handle high volumes of calls, so real estate businesses can experience an increase in lead generation. This is definitely crucial in a competitive market where generating quality leads is key to business growth.

Professional Handling of Rejections and Objections

As we said earlier, outsourced agents are typically well-trained in handling objections and rejections – which can relieve you of unnecessary headaches. Their training makes them adept at turning potential rejections into opportunities.

Virtual Fellows – The Ultimate Destination for Outsourced Cold Calling Professionals

We have a huge team with a successful background in cold calling. You may contact us anytime for your Real Estate business needs. Additionally, we ensure that we can maximize the conversion rate of turning a target into the next possible client of your business.

Please send us an email at info@virtualfellows.co. We will be happy to serve you!

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